Item 6. Selected Financial Data

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Item 6. Selected Financial Data

The following table sets forth selected historical financial information as of and for each of the fiscal years in the five-year period ended January 1, 2017. We derived the selected historical financial information for the balance sheets for the fiscal years ended January 1, 2017 and January 3, 2016 and the statement of operations for each of the fiscal years in the three-year period ended January 1, 2017 from our audited consolidated financial statements which are included elsewhere in this annual report on Form 10-K. We derived the selected historical financial information for the statements of operations for the fiscal years ended December 29, 2013 and December 30, 2012 from our audited consolidated financial statements which are not included in this annual report on Form 10-K. We derived the selected historical financial information for the balance sheets as of December 28, 2014, December 29, 2013 and December 30, 2012 from our audited consolidated financial statements which are not included in this annual report on Form 10-K. We adjusted the information in the consolidated financial statements, where appropriate, for discontinued operations.

Our historical financial information may not be indicative of our future results of operations or financial position.

The following selected historical financial information should be read together with our “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and our consolidated financial statements, including the related notes, included elsewhere in this annual report on Form 10-K.



	Fiscal Years Ended
	January 1, 2017		January 3, 2016		December 28, 2014		December 29, 2013		December 30, 2012
	(In thousands, except per share data)
Statement of Operations Data:
Revenue	$	2,115,517	$	2,104,823	$	2,069,880	$	1,996,959	$	1,940,202
Operating income from continuing operations(1)(2)(3)	283,066		250,926		165,007		180,791		51,494
Interest and other expense, net(4)	38,998		42,119		41,139		64,110		47,956
Income from continuing operations before income taxes	244,068		208,807		123,868		116,681		3,538
Income from continuing operations, net of income taxes(5)	215,706		188,785		130,139		142,206		36,354
Income from discontinued operations and dispositions, net of income taxes(6)(7)	18,593		23,640		27,639		25,006		33,586
Net income	$	234,299	$	212,425	$	157,778	$	167,212	$	69,940
Basic earnings per share:
Continuing operations	$	1.97	$	1.68	$	1.16	$	1.27	$	0.32
Discontinued operations	0.17		0.21		0.25		0.22		0.30
Net income	$	2.14	$	1.89	$	1.40	$	1.49	$	0.61
Diluted earnings per share:
Continuing operations	$	1.96	$	1.67	$	1.14	$	1.25	$	0.32
Discontinued operations	0.17		0.21		0.24		0.22		0.29
Net income	$	2.12	$	1.87	$	1.39	$	1.47	$	0.61
Weighted-average common shares outstanding:
Basic:	109,478		112,507		112,593		112,254		113,728
Diluted:	110,313		113,315		113,739		113,503		114,860
Cash dividends declared per common share	$	0.28	$	0.28	$	0.28	$	0.28	$	0.28



	As of
	January 1, 2017		January 3, 2016		December 28, 2014		December 29, 2013		December 30, 2012
	(In thousands)
Balance Sheet Data:
Total assets(6)	$	4,276,683	$	4,166,295	$	4,127,576	$	3,940,882	$	3,894,451
Short-term debt	1,172		1,123		1,075		2,624		1,772
Long-term debt(4)(8)	1,045,254		1,011,762		1,045,393		926,274		931,513
Stockholders’ equity(1)(9)	2,153,570		2,110,441		2,042,102		1,994,487		1,939,812
Common shares outstanding(9)	109,617		112,034		112,481		112,626		115,036


(1)	Activity related to the mark-to-market adjustment on postretirement benefit plans was a pre-tax loss of $15.3 million in fiscal year 2016, a pre-tax loss of $12.4 million in fiscal year 2015, a pre-tax loss of $75.4 million in fiscal year 2014, a pre-tax income of $17.6 million in fiscal year 2013 and a pre-tax loss of $31.3 million in fiscal year 2012.


(2)	We recorded pre-tax restructuring and contract termination charges, net, of $5.1 million in fiscal year 2016, $13.5 million in fiscal year 2015, $13.3 million in fiscal year 2014, $33.5 million in fiscal year 2013 and $25.0 million in fiscal year 2012.


(3)	In fiscal year 2013, we recorded pre-tax impairment charges of $0.2 million as the carrying amounts of certain long-lived assets were not recoverable and exceeded their fair value. In fiscal year 2012, we recorded pre-tax impairment charges of $74.2 million as a result of a review of certain of our trade names within our portfolio as part of a realignment of our marketing strategy.


(4)	In fiscal years 2016, 2015, 2014, 2013 and 2012, interest expense was $41.5 million, $38.0 million, $36.3 million, $49.9 million and $45.8 million, respectively. In fiscal year 2013, we redeemed all of our 6% senior unsecured notes due in 2015 (the “2015 Notes”) that included a prepayment premium of $11.1 million, which is included in other expense, net, the write-off of $2.8 million for the remaining unamortized derivative losses for previously settled cash flow hedges, which is included in interest expense, and the write-off of $0.2 million for the remaining deferred debt issuance costs, which is included in interest expense.

(4)

In fiscal years 2016, 2015, 2014, 2013 and 2012, interest expense was $41.5 million, $38.0 million, $36.3 million, $49.9 million and $45.8 million, respectively. In fiscal year 2013, we redeemed all of our 6% senior unsecured notes due in 2015 (the “2015 Notes”) that included a prepayment premium of $11.1 million, which is included in other expense, net, the write-off of $2.8 million for the remaining unamortized derivative losses for previously settled cash flow hedges, which is included in interest expense, and the write-off of $0.2 million for the remaining deferred debt issuance costs, which is included in interest expense.


(5)	In fiscal years 2016 and 2015, provision for income tax on continuing operations was $28.4 million and $20.0 million, respectively. The higher provision for income taxes in fiscal year 2016 was primarily due to higher income in higher tax rate jurisdictions, partially offset by an increase in tax benefit of $3.2 million related to discrete items from $6.4 million in fiscal year 2015 to $9.6 million in fiscal year 2016. In fiscal years 2014, 2013 and 2012, tax benefit on continuing operations was $6.3 million, $25.5 million and $32.8 million, respectively. The benefit from income taxes in fiscal year 2014 was primarily due to losses in higher tax rate jurisdictions and a tax benefit of $7.1 million related to discrete items, partially offset by a provision for income taxes related to profits in lower tax rate jurisdictions. The benefit from income taxes in fiscal year 2013 was primarily due to a tax benefit of $24.0 million related to discrete items and losses in higher tax rate jurisdictions, partially offset by a provision for income taxes related to profits in lower tax rate jurisdictions. The benefit from income taxes in fiscal year 2012 was primarily due to a tax benefit of $7.0 million related to discrete items and losses in higher tax rate jurisdictions, which included pre-tax impairment charges of $74.2 million, partially offset by provision for income taxes related to profits in lower tax rate jurisdictions.

(5)

In fiscal years 2016 and 2015, provision for income tax on continuing operations was $28.4 million and $20.0 million, respectively. The higher provision for income taxes in fiscal year 2016 was primarily due to higher income in higher tax rate jurisdictions, partially offset by an increase in tax benefit of $3.2 million related to discrete items from $6.4 million in fiscal year 2015 to $9.6 million in fiscal year 2016. In fiscal years 2014, 2013 and 2012, tax benefit on continuing operations was $6.3 million, $25.5 million and $32.8 million, respectively. The benefit from income taxes in fiscal year 2014 was primarily due to losses in higher tax rate jurisdictions and a tax benefit of $7.1 million related to discrete items, partially offset by a provision for income taxes related to profits in lower tax rate jurisdictions. The benefit from income taxes in fiscal year 2013 was primarily due to a tax benefit of $24.0 million related to discrete items and losses in higher tax rate jurisdictions, partially offset by a provision for income taxes related to profits in lower tax rate jurisdictions. The benefit from income taxes in fiscal year 2012 was primarily due to a tax benefit of $7.0 million related to discrete items and losses in higher tax rate jurisdictions, which included pre-tax impairment charges of $74.2 million, partially offset by provision for income taxes related to profits in lower tax rate jurisdictions.


(6)	In May 2014, we approved the shutdown of our microarray-based diagnostic testing laboratory in the United States. The shutdown resulted in a $0.1 million net pre-tax gain primarily related to the disposal of fixed assets, which was partially offset by the sale of a building in fiscal year 2014.


(7)	In December 2016, we entered into a Master Purchase and Sale Agreement for the sale of our Medical Imaging business. We accounted for this business as discontinued operations beginning in 2016 and the financial information relating to fiscal years 2015, 2014, 2013 and 2012 has been retrospectively adjusted to reflect the inclusion of this business in discontinued operations.


(8)	In July 2016, we issued and sold ten-year senior notes at a rate of 1.875% with a face value of €500.0 million and received €492.3 million of net proceeds from the issuance. The debt, which matures in July 2026, is unsecured.


(9)	In fiscal year 2016, we repurchased in the open market 3.2 million shares of our common stock at an aggregate cost of $148.2 million, including commissions under a stock repurchase program authorized by our Board on October 23, 2014 ("the Repurchase Program"). In fiscal year 2015, we repurchased in the open market 1.5 million shares of our common stock at an aggregate cost of $72.0 million, including commissions under the Repurchase Program. In fiscal year 2014, we repurchased in the open market 1.4 million shares of our common stock at an aggregate cost of $61.3 million, including commissions, under both the Repurchase Program and a stock repurchase program originally announced in October 2012 that expired in October 2014 (the "Former Repurchase Program"). In fiscal year 2013, we repurchased in the open market 3.6 million shares of our common stock at an aggregate cost of $123.0 million, including commissions, under the Former Repurchase Program. In fiscal year 2012, we did not repurchase any shares

(9)

In fiscal year 2016, we repurchased in the open market 3.2 million shares of our common stock at an aggregate cost of $148.2 million, including commissions under a stock repurchase program authorized by our Board on October 23, 2014 ("the Repurchase Program"). In fiscal year 2015, we repurchased in the open market 1.5 million shares of our common stock at an aggregate cost of $72.0 million, including commissions under the Repurchase Program. In fiscal year 2014, we repurchased in the open market 1.4 million shares of our common stock at an aggregate cost of $61.3 million, including commissions, under both the Repurchase Program and a stock repurchase program originally announced in October 2012 that expired in October 2014 (the "Former Repurchase Program"). In fiscal year 2013, we repurchased in the open market 3.6 million shares of our common stock at an aggregate cost of $123.0 million, including commissions, under the Former Repurchase Program. In fiscal year 2012, we did not repurchase any shares

of our common stock. The repurchased shares have been reflected as additional authorized but unissued shares, with the payments reflected in common stock and capital in excess of par value.

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